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Showing posts with label M66. Show all posts
Showing posts with label M66. Show all posts

Friday, April 9, 2010

The mysterious and elusive Jim Dunning

At BlueOregon, Steve Novick writes a man-bites-dog story of Washington businesses forming a "stampede" to relocate to Oregon:

632 Washington business owners announced today that they were moving their businesses across the river to Oregon, after the Washington Legislature announced plans to increase the Business and Occupation Tax - in effect, a gross receipts tax - on service businesses from 1.5% to 1.8% in order to balance the state budget.

"Many of us started thinking about making this move a few months ago, when we started reading about the Measures 66 and 67 campaign and discovered that Oregon was planning to adopt an alternative minimum tax that looked sort of like the B&O tax, but was only 0.1% or a flat $150," said Vancouver dermatologist Jim Dunning. "We had no idea that before this, Oregon had nothing like the B&O tax at all. Now that Washington's raising the B&O tax even higher, we'd be fools - not just in April but year 'round - to stay in Washington State another minute."


Interesting story ... And all the more interesting because there appears to be no one by the name of Jim Dunning licensed to practice dermatology in the entire State of Washington.

Over at Oregon Business, managing editor Ben Jacklet has dropped the gauntlet to any businesses who claim that Measures 66 & 67 have caused them to relocate out of state.

Once I get such a name, on the record, I promise to explore in great detail the specific reasons behind that person's departure .... I think that would make a great story, but to get started I'll need some proof that people are indeed leaving because of the taxes.


Let's see if Mr. Jacklet turns his attention to report all sides of the story.

Friday, March 26, 2010

Oregon Business magazine says good riddance to Oregon business

Ben Jacklet, the managing editor of Oregon Business, unloads both barrels on Measures 66 and 67. What's most surprising is that the editor unloads on ... Oregon businesses.

Mr. Jacklet's take on the businesses thinking of leaving for more business friendly states? "Don't let the door hit you on the butt on the way out."

That's a pretty surprising sentiment from a business magazine. But it's not all that surprising from Oregon Business magazine.

Over the years, Oregon Business has been the model of milquetoast reporting. Everything is awesome in Oregon and business is booming! Green! Sustainable! Wine! Streetcars! Windmills! It's all awesome! Taxes are low! Children are smart! Government is savvy!

I have long since given up on Oregon Business to report on Oregon's business environment. Maybe that's why the only place I see the magazine is in the doctor's office nestled between Highlights for Children and the AARP magazine.

Wednesday, March 24, 2010

Governor candidate Bill Bradbury say Measures 66 and 67 should be repealed

Portland Monthly recently had a Q & A with Bill Bradbury, who is running as a Democrat for Oregon governor. Despite his reputation for being the most left leaning of the candidate, Bradbury recognizes that the tax increases of Measures 66 and 67 are hurting Oregon's business environment.

Forbes: After Measures 66 and 67, we’ve given up the ability to do all the reform that needs to be done. There’s no trust.

Bradbury: I wish 66 and 67 were temporary.

Chambers: How are you going to keep businesses and individuals from leaving Oregon because of 66 and 67? Some are already planning to.

Bradbury: I think you need to repeal 66 and 67. That’s a huge challenge given the fiscal situation. But, frankly, I think 11 percent is a pretty high income tax. Let me be clear, I’m not proposing repeal. But I’d certainly look at it if we have serious impacts from the increase. I don’t think it’s sustainable.

Peppler: Keep in mind that part of the deal with the Oregon Business Alliance was that the members would agree to the temporary business tax and then we would help fund the campaign for kicker reform. Unfortunately, it was rejected out of hand by the legislative majority.

Bradbury: When you have the business community coming to the legislature, saying, “We recognize the need; we’re willing to pay our fair share,” my advice would be, go for it. Come out with a remarkable coalition. That’s the role of the governor.

UPDATE: Bradbury backtracks on his recorded statement and claims he misspoke about repealing the tax measures. His new campaign slogan: I was for the taxes before I was against the taxes, but now I'm for the taxes.

Thursday, March 18, 2010

Deschutes County Commission race highlights Oregon's unhealthy business climate

The Bend Bulletin reports that voters and businesses in Deschutes County want to hear ideas on how to create jobs and attract new businesses from candidates running for two County Commission positions this year.

The Bend area candidates said county commissioners should hold the line on taxes, or even cut them. They also emphasized that maintaining good roads and other infrastructure is important to attract businesses.

County officials need to work on public relations and outreach to out-of-state businesses, says Tim Knopp, vice president of the Central Oregon Builders Association, because some businesses might view the state as undesirable after voters approved tax increases with Measures 66 and 67 in January.

Bill Robie, government affairs director at the Central Oregon Association of Realtors, said that how county officials handle land use issues is important to his organization’s members. The county should check whether land is incorrectly zoned for farm use, as allowed under a state law passed in 2009, Robie said.

“We need to make sure (exclusive farm use zoning) is not being used as a proxy for open space protection,” Robie said.

Tuesday, March 16, 2010

Idaho's "love letter" to Oregon and Washington businesses facing stiff tax increases


The Kitsap Peninsula Business Journal has published a copy of the Idaho governor's letter to Oregon and Washington businesses.

It’s true that a rising tide lifts all boats. But how those boats are handled makes a big difference when the tide is out and the waters get rough.

State governments across the country are dealing with the continuing national recession in different ways. In Idaho, our focus is on stability. Predictable tax and regulatory policies are what our employers need in order to maintain their operations through this rough patch, and it’s what employers elsewhere are looking for when they consider expanding or relocating.

Other states, however, have chosen some interesting and in my view counterproductive approaches. Last month, for example, Oregon voters approved their legislature’s decision to raise taxes on the wealthy and on many businesses by $727 million. The immediate result was that my phone started ringing — and so did phones over at our Department of Commerce. It seems that word has spread about our Project 60 initiative, and that we are open for business, including theirs!

The businesses that have called are emotional about this subject, and they have every right to be. Rising costs — especially during a recession — could put some employers out of business, or at least prompt layoffs. More than 2,000 Oregonians joined a Facebook group to protest the tax increase and commiserate about the repercussions. No less an Oregon business icon than Nike’s Phil Knight calls it “Oregon’s Assisted Suicide Law II.”

Legislators in the state of Washington are talking about even bigger tax increases to tackle a budget deficit that figures to be as big as Idaho’s entire State budget. Businesses in both states are like those in Idaho; they are facing the most challenging times in decades, and even incremental cost increases can mean the difference between surviving and closing up.

The problem in Oregon is that folks were convinced that state government was what needed to be shored up rather than the jobs- and revenue-producing private sector for which state government is supposed to work. As a result, they’re chasing some of their cash cows to the border. And I welcome those businesses with open arms.

We now are reaching out to hundreds of Oregon businesses, and will do the same with those in Washington if the legislature there follows Oregon’s lead. We aren’t offering many bells and whistles, but what we can offer is a business-friendly State government, a highly qualified and motivated work force, and communities where people understand that while government cannot be the solution to their problems it can and must be a champion for their own solutions.

Businesses small and large are the backbone of Idaho’s economy. They employ our citizens, who in turn can provide for their families. Businesses and individuals also pay reasonable taxes that enable State and local governments to provide such essential services as public schools and public safety. And make no mistake: Any business that doesn’t pass along its operating costs to consumers — including their tax bills — doesn’t stay in business for long.

Of course, Oregon businesses can choose to accept their higher tax burden, and many will. After all, I understand that the quality of life over there is pretty good. But they have nothing on Idaho in that regard.

For those Oregon businesses facing a decision about whether to lay off employees or close their doors entirely, I have a proposal: Move to Idaho. The Tax Foundation rates our corporate tax burden at 17th in the nation, compared to Oregon’s ranking of 31st. Our individual tax burden is lower, too. Those kinds of numbers can make a real difference to a bottom line.

For Oregonians reading this: Find the best Idaho community for your business by visiting us online at www.gemstateprospector.com. Or call our Department of Commerce toll free at (800) 842-5858 for details about available land, buildings and incentives.

I’ll continue to share information wherever I can about Project 60 and our business-smart state. Find out what so many folks already know — Idaho is a great place to live, to work, and to create career-path jobs and opportunities.

Monday, March 15, 2010

Oregon's new taxes spark an entrepreneurial crisis

The Oregonian reports that for a couple of hours, the 75 or so investors, entrepreneurs and elected officials gathered at Portland's World Trade Center.

Eric Pozzo, who manages the Oregon Angel Fund, which screens and invests in startup companies, said potential investors have to ask themselves now, "Why would I choose Oregon with our tax structure?"

Wayne Embree said his seed-stage investment firm was considering leaving the state, depending on the advice he and his partner get from tax experts about the impact of Oregon's new tax structure on his fund's investors.

"These guys," muttered Embree, referring to the proponents of Measures 66 and 67, "have no idea what they've done."

Even political activist Steve Novick, the relentlessly cheerful advocate of Measures 66 and 67, showed a trace of regret last week, writing on BlueOregon: "If there are ways to make some of these folks feel more valued, we should try them out. If we can convince even a few of the few to stay, that's a good thing."